June 14, 2012
Better trained manpower crucial to convince reluctant end users to adopt UPS based on new technologies
KUALA LUMPUR, Malaysia, June 14 — Several projects that were deferred during the economic downturn are now getting off the ground, generating demand for UPS systems. The market is expected to recover fully by 2015, mainly due to governments' emphasis on cloud computing, green technology and smart grids.
New analysis from Frost & Sullivan (http://www.powersupplies.frost.com), Asia-Pacific Uninterruptible Power Supplies Market, finds that the market earned revenues of US$1.46 billion in 2011 and estimates this to reach US$2.03 billion in 2017.
Data centres' popularity has raised the profile of cloud computing in Southeast Asia, Australia and Japan. Following this development, governments have been eager to adopt cloud computing to accelerate economic development, which, in turn, has accelerated the uptake of UPS systems.
"Several public and private companies are included in governments' programmes to convert all government agencies' computing systems to a public cloud system, creating a cast market for UPS devices," says Frost & Sullivan Research Analyst Avanthika Satheesh.
With the existing power network becoming unreliable and the Fukushima earthquake causing power disruptions in Japan, the sales of single phase UPS soared. End users will also look to adopt UPS systems once companies provide better product services. Participants can gain a competitive advantage by offering a combination of a warranty on efficiency, aftersales service, 24/7 customer service and spare parts.
The mining, manufacturing and power utility industries will be the biggest contributors to market revenues. The introduction of smart grids all over the region is also creating considerable opportunities for the UPS market, as these grids require constant monitoring, intelligent control and communication.
However, end users in the mining and power utility sectors tend to be reluctant to adopt new technologies such green technology due to fears that the unproven technology could halt their production or cause accidents. Therefore, UPS products supplied to these sectors have to meet customized technical specifications.
"Customers' expectations could challenge UPS manufacturers since they generally lack expertise and industry knowledge in the mining, chemical, power and manufacturing sectors," notes Satheesh. "Manufacturers will be better equipped to meet end-user demand by participating in frequent development programs and training so they have skilled manpower."
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Asia-Pacific Uninterruptible Power Supplies Market is part of the Power Supplies & Batteries Growth Partnership Services program, which also includes research in the following markets: European UPS Market, European Scalable and Modular UPS Market, World Datacenter UPS Market and World Healthcare UPS Market. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.
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Source: Frost & Sullivan
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